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Questions and Answers
What characteristic defines the judiciary when compared to the executive and legislative branches of government?
Which of the following is NOT a method of alternative dispute resolution (ADR)?
What is a primary advantage of using alternative dispute resolution?
What is negotiation primarily aimed at achieving?
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What is an important step in the alternative dispute resolution process?
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What is a potential disadvantage of litigation compared to alternative dispute resolution?
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What is the purpose of the pleadings in a lawsuit?
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What happens if the defendant fails to respond to the claim?
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What is the primary goal of the discovery process?
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Who presides over a trial?
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What is a counterclaim?
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What happens to an offer after it has been rejected?
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What characterizes a counteroffer?
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What defines a standard form contract?
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What must occur for acceptance to be effective?
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Which statement accurately describes the case of Leonard v Pepsico Inc?
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What occurs if the offeror or offeree dies before acceptance?
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What is revocation in the context of contract law?
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What defines revocation in contract law?
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What can lead to the termination of an offer?
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What happens when a tender is submitted?
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What must a tenderer do before the specified time has elapsed?
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What is considered a 'firm offer'?
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In contract law, what constitutes an option agreement?
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Which of the following is NOT a way an offer can be terminated?
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What could be a result of reading and understanding a standard form contract?
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What is the primary purpose of trademark legislation?
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Which of the following is a purpose of privacy legislation?
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What occurs as a consequence of breaching a contract?
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How did Tim Hortons violate privacy legislation according to the privacy commissioner?
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What are the two related ways that the law offers protection?
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Which statement accurately reflects the role of trademarks in consumer purchasing decisions?
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What is one of the essential elements required for a valid contract?
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What is a key advantage of contracts in business activities?
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Which of the following statements is true regarding oral contracts?
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In contract law, what is meant by 'mutual consideration'?
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What typically occurs if a contract is deemed incomplete?
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Which of the following is NOT a requirement for a contract to be formed?
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What is one example of a risk retention strategy organizations can implement?
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Which factor contributed to the limited impact of the boycott on Facebook's revenue?
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Who bears the burden of proof in a lawsuit?
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What is the usual outcome of a court's decision in a lawsuit?
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What occurs when a plaintiff declines a settlement offer before trial?
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What is the standard of proof the plaintiff must meet in a civil lawsuit?
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The process of mediation involves parties to a dispute and a neutral person to assist in resolving the issue.
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Contract law does not provide any means for enforcing agreements.
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Litigation is the process involved when one person helps another resolve a dispute.
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The Supreme Court of Canada is bound by precedent from lower courts.
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Judge-made law in Canada is referred to as common law.
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The goal of precedent in law is to create uncertainty and unpredictability.
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Study Notes
Regulation of Business
- Business regulation is primarily managed by provincial and municipal governments due to their jurisdiction over property and civil rights.
- Municipalities can legislate on matters such as taxation, local zoning, parking, business licensing, and pet licensing.
- Federal jurisdiction includes international and interprovincial transport and communication, where businesses must comply with federal regulations on licensing, labor laws, and occupational health and safety.
The Executive Branch of Government
- The formal executive includes ceremonial representatives like the King and the governor general, while the political executive handles day-to-day operations of government.
- The prime minister, cabinet, civil servants, and various agencies carry out functions of the political executive.
- The cabinet is composed of ministers from different departments and is responsible for passing regulations.
Tobacco Regulation by the Federal Government
- Regulations passed under the Tobacco and Vaping Products Act since 2019 aim to standardize the appearance of tobacco products, including specific packaging requirements.
The Judicial Branch
- The judiciary operates independently from the legislative and executive branches and is responsible for adjudicating disputes and presiding over criminal cases.
Duty to Consult and Accommodate Aboriginal Peoples
- Failure to consult Indigenous communities can lead to operational setbacks for businesses and environmental degradation, impacting both parties economically and socially.
Alternative Dispute Resolution (ADR)
- ADR encompasses methods like negotiation, mediation, and arbitration, providing alternatives to litigation for resolving disputes.
- Benefits of ADR include reduced costs, confidentiality, relationship preservation, and avoiding unwanted publicity.
Negotiation in ADR
- Negotiation is the most common ADR method and is generally quick, cost-effective, and adaptable, allowing for various types of disputes to be addressed.
- Contractual clauses can mandate negotiation before litigation, though it may not apply in all circumstances, such as when an insurer handles a claim.
Stages of a Lawsuit
- The pleadings stage involves formal documents outlining a lawsuit's basis, including the claimant's allegations and the defendant's response.
- Discovery entails both parties exchanging evidence and disclosing facts relevant to their claims, which can promote resolution before trial.
- If settlement is not achieved during discovery, a summary judgment may be sought to resolve elements of the case without a full trial.
Standard Form Contracts
- Standard form contracts present predefined terms with little room for negotiation, often favoring one party, such as in car rentals.
- Emphasizes the importance of understanding and reading contract terms before acceptance.
Leonard v Pepsico Inc Case
- Advertisements can be deemed invitations to treat rather than offers; the court ruled that an ad promoting a jet was not a legitimate offer.
- This case underlines the necessity of objective assessment in contract law.
Termination of an Offer
- An offer may be terminated through revocation, lapse, rejection, counteroffer, or due to the death or insanity of the parties involved.
- Revocation requires notification before acceptance but can be completed through option agreements.
Acceptance of an Offer
- Acceptance is the unqualified agreement to the terms of an offer, which must be communicated to the offeror for it to be effective.
- A contract is created upon acceptance, signaling mutual agreement between both parties.
Regulation of Business Names
- Trademarks protect consumers' expectations of quality and source.
- Legal protections prevent similar names in overlapping commercial spaces.
Rules and Principles of Law
- Law serves as a framework for social conduct, aiming to protect individuals and property.
- Key functions include facilitating interactions and providing dispute resolution mechanisms.
Protecting Persons and Their Property
- Legal protection involves rule-setting and penalties for breaches, ensuring accountability.
- Examples include privacy and criminal laws.
- Breach of contract results in potential lawsuits for damages.
Breach of Privacy by Tim Hortons
- Organizations must obtain consent for data collection, use, or disclosure.
- Tim Hortons app collected excessive location data without proper user consent.
Privacy Commissioner Findings
- Tim Hortons violated privacy laws by not informing users about data collection frequency.
- Settlements in class actions against Tim Hortons occurred without liability admissions.
Ethical Considerations: Facebook Boycott
- In 2020, advocacy groups led a boycott against Facebook over inadequate content moderation.
- Major corporations participated, but the overall impact on Facebook's revenue was minimal.
Implementing a Plan
- Successful plan implementation includes carrying out tasks, monitoring progress, and revising as needed.
- Clear assignment of responsibilities is essential.
COVID-19 and Legal Risks
- The pandemic led to business disruptions, employee absences, and revenue loss.
- New legal disputes arose around contractual obligations, workplace policies, and insurance coverage.
Crisis Management
- A crisis can take various forms, with the burden of proof resting on the plaintiff to substantiate their claims.
Stages of a Lawsuit: Trial and Decision
- Both parties present arguments based on legal precedents before the judge makes a decision.
- Judgments can involve monetary awards or other remedies, with cost responsibilities assigned.
Bukshtynov v McMaster University Case
- The case highlighted the principle that the losing party usually pays the winner's legal costs.
- Plaintiff declined a pre-trial settlement, resulting in higher costs despite winning.
Stages of a Lawsuit: Enforcement
- Enforcement of judgments may require seizing and liquidating the assets of the losing party.
Introduction to Contracts
- A contract is a legally enforceable agreement between two or more parties.
- Six essential elements include agreement, completeness, deliberation, voluntary consent, competent parties, and mutual consideration.
Contracts in Writing
- While oral contracts are generally enforceable, certain contracts, such as those involving land, must be written.
Advantages of Contracts
- Contracts ensure reliance on negotiated terms and binding promises.
- They facilitate various commercial operations, allowing businesses to create rights and obligations.
Reputation Management in Contracting
- Frequent contract breaches can damage a business's reputation and viability.
- Striking a balance between legal rights and reputation is crucial.
Forming Contractual Relationships
- Essential elements include an agreement, completeness, deliberation, and mutual consideration.
Agreement Formation
- A contract requires a consensus on rights and obligations, defined by an offer (promise to enter contract) and acceptance.
Offer vs. Invitation to Treat
- An invitation to treat indicates a willingness to engage but carries no legal obligations, such as in advertisements.
Maple Lodge Farms’ Conviction
- Maple Lodge Farms faced a conviction for the inhumane death of 25,450 chickens due to exposure and inadequate ventilation during transport.
- An Ontario court fined the company $80,000 and mandated a minimum investment of $1 million to enhance transport facilities.
- The corporation received a three-year probation and issued an online apology for its actions.
- The Canadian Coalition for Farm Animals criticized the company for prioritizing economic factors over animal welfare and not adhering to practice codes.
- A hidden camera revealed alleged mistreatment, and during probation, thousands of hens were left in an unheated barn for 12 hours on a cold day.
Facilitating Interactions
- Law facilitates personal interactions, such as marriage, adoption, and property disposal upon death.
- It provides a framework for commercial activities, ensuring certainty and security while addressing failed relationships and prohibiting certain actions.
- Contract law enforces binding agreements, while litigation refers to the process of suing another party.
Providing Methods for Dispute Resolution
- Prioritizing relationship maintenance is essential to avoid litigation, assessing whether legal action is necessary.
- Voluntary resolution should be attempted first, followed by formal settlement agreements if needed.
- Legal proceedings should only be pursued if prior attempts at resolution fail, utilizing mediation and arbitration as potential strategies.
- Mediation involves a neutral party helping to reach a resolution.
Business and Legislation
- The Constitution Act, 1867 outlines distinct federal and provincial powers, with federal jurisdiction over international trade, criminal law, and national defense, while provinces manage hospitals, property rights, and local matters.
- Environmental regulation is complex due to federal, provincial, and municipal laws, necessitating businesses to understand applicable legislation.
Environmental Perspective
- Federal jurisdiction involves significant areas like ocean protection, fisheries, and hazardous products, with provincial measures addressing local ecological concerns.
- Bill S-5 aims to strengthen the Canadian Environmental Protection Act, introducing accountability for directors and officers in compliance.
- Aboriginal peoples' rights entail Crown's duty to consult and accommodate interests in decisions affecting treaty rights, triggered only under specific circumstances.
Sources of Law
- Canada's law sources include statute law and common law, with the latter relying on precedents set by earlier legal rulings.
- Precedents ensure legal predictability, with judges interpreting and applying either common law or equity principles for fairness in rulings.
- Equity offers unique remedies and principles, including the “clean hands” rule, which prevents aiding plaintiffs who acted improperly.
Dispute Resolution
- Legal risks in business are unavoidable but manageable, aiming to prevent costly litigation and maintain long-standing commercial relationships.
- Disputes may arise from a range of issues, including equipment failure, pollution, customer dissatisfaction, and relations with Indigenous peoples.
The Duty to Consult and Accommodate Aboriginal Peoples
- The Crown has a confirmed duty to consult Aboriginal Peoples when actions may affect their rights, triggered by knowledge of rights or titles.
- This duty varies based on historical attachments to land and the strength of land claims.
- The Crown's meaningful consultation is critical, with potential court injunctions for failures in this duty.
Performing or Enforcing Contracts
- Breaching contracts can damage a business's reputation, threatening its long-term viability. A balance between strict legality and reputation management is crucial.
Forming Contractual Relationships
- An enforceable contract requires agreement (offer and acceptance), certainty, intention, and mutual consideration.
- Defining an offer involves outlining essential terms for clarity, ensuring contracts don’t fail due to uncertainty.
- Invitations to treat, often seen in advertisements, indicate willingness to engage rather than firm offers.
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